TD Power Systems surges 31% in four days on share buyback plan
The stock moved higher by 13% to Rs 145, extending its past three days 16.5% rally on the BSE ahead of the board meeting today to consider a share buyback proposal.
 "TD Power Systems surges 31% in four days on share buyback plan")
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Shares of TD Power Systems have moved higher by 13% to Rs 145 per share, extending their 16.5% rally in past three days on the BSE ahead of the board meeting later in the day to consider a share buyback proposal.
“The meeting of board of directors of the Company will be held on Wednesday, September 26, 2018, inter alia, to consider a proposal for buy back of equity shares of the Company including matters related/incidental thereto and any other matter as the Board of the Directors may decide during the course of the Meeting,” TD Power Systems said in a BSE filing. The company made the announcement on Friday after market hours.
The primary objective of a share buyback programme is to arrest the fall in the value of a stock by reducing the supply of the stock, which essentially pushes up the share price through a better P/E multiple.
The stock of TD Power Systems hit an all-time low of Rs 110 on September 19, 2018, during intra-day trade. Thus far in the calendar year 2018, it had underperformed the market by falling 43% as compared to a 9% rise in the Sensex till last Wednesday.
At 03:03 pm; the stock was trading 12% higher at Rs 144 on the BSE, against 0.36% decline in the benchmark index. The trading volumes on the counter nearly doubled with a combined 480,959 equity shares changed hands on the NSE and BSE so far.
“The meeting of board of directors of the Company will be held on Wednesday, September 26, 2018, inter alia, to consider a proposal for buy back of equity shares of the Company including matters related/incidental thereto and any other matter as the Board of the Directors may decide during the course of the Meeting,” TD Power Systems said in a BSE filing. The company made the announcement on Friday after market hours.
The primary objective of a share buyback programme is to arrest the fall in the value of a stock by reducing the supply of the stock, which essentially pushes up the share price through a better P/E multiple.
The stock of TD Power Systems hit an all-time low of Rs 110 on September 19, 2018, during intra-day trade. Thus far in the calendar year 2018, it had underperformed the market by falling 43% as compared to a 9% rise in the Sensex till last Wednesday.
At 03:03 pm; the stock was trading 12% higher at Rs 144 on the BSE, against 0.36% decline in the benchmark index. The trading volumes on the counter nearly doubled with a combined 480,959 equity shares changed hands on the NSE and BSE so far.